RH (RH) Traded Down Due To a Combination of Tariff Pressures and Weaker Results

Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Mid Cap Growth Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. Mid-cap stocks rebounded in the second quarter, delivering a strong recovery. The Russell Midcap Growth Index (up 18.20%) outperformed the Russell Midcap® Value Index (up 5.34%) in the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its second-quarter 2025 investor letter, Carillon Eagle Mid Cap Growth Fund highlighted stocks such as RH (NYSE:RH). RH (NYSE:RH) is a retailer and lifestyle brand in the home furnishings market. The one-month return of RH (NYSE:RH) was 4.08%, and its shares lost 9.73% of their value over the last 52 weeks. On September 02, 2025, RH (NYSE:RH) stock closed at $221.72 per share, with a market capitalization of $4.153 billion.

Carillon Eagle Mid Cap Growth Fund stated the following regarding RH (NYSE:RH) in its second quarter 2025 investor letter:

“RH (NYSE:RH) is a home furnishings retailer that designs, sells, and markets furniture, décor, textiles, and related products. The stock lagged driven by a combination of tariff pressures and weaker results. We were more concerned with the weaker business results, which marked a shift from the positive momentum the company had been building. A number of factors including consumer caution, higher interest rates, and overall housing weakness combined to nullify the strides RH has made in product and pricing strategies.”

Is GigaCloud Technology Inc. (GCT) the Best Small-Cap Growth Stock to Buy Now?

RH (NYSE:RH) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 49 hedge fund portfolios held RH (NYSE:RH) at the end of the second quarter, which was 46 in the previous quarter. While we acknowledge the risk and potential of RH (NYSE:RH) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than RH (NYSE:RH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered RH (NYSE:RH) and shared the list of stocks Jim Cramer shared insights on. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None. This article is originally published at Insider Monkey.